VISAKHAPATNAM STEEL PLANT Vs. CCE, VISAKHAPATNAM

JUDGEMENT

(1.) AFTER hearing for some time with reference to the stay petition filed by the party, we find that the matter itself can be disposed of on limited issue. Accordingly the appeal was taken for regular hearing with the consent of both sides. The issue relates to Modvat credit on Lubricating Oils and greases. We find that the issue involved herein has already been considered by the Larger Bench of the Tribunal in the case of Commissioner of Customs & C. Excise, Meerut -I v. Modi Rubber Ltd. In that case it was held that Lubricating oils and greases used for the purpose of lubricating the machines and machinery which were used for the manufacture of the final product. The Counsel also drew our attention to the Circular No. F. No. 390/246/2000 -JC dated 7th March 2001 issued by the Central Board of Excise & Customs, accepting the decision of the Tribunal. In view of this position, the appeal is allowed with consequential relief if any.